Recruitment HQ
How Many Sales Employees Should I Hire?
Here is the daily hiring and getting hired tip:
One of the hardest decisions a business can make is how many people to hire. With the high expense of turning over an employee, averagely $30,000, the choice of how much staff to add or replace can completely control your profitability for the year.
Most stores base this solely around how many cars they want to sell, or even worse the eye test when they see a client not being attended to at some random time. Using either of these methods can lead to over-population of the sales floor, because we are basing the amount of staff around one small instance; or just as bad is being understaffed because we only sell "fill in the blank". Maybe you don't sell more due to the limit in staff?
For dealership sales departments I use the client base as a measuring stick. For each 500 clean contacts in your dealership client base (including gained prospects) your store needs one employee engaged in marketing to them. This includes floor sales, internet sales, and business development.
500 engaged clients is the total amount any one employee can effectively market to on behalf of the dealership. Any more and it gets overwhelming and people slip through the cracks; any less and you have salespeople sharing stories all day with nothing to do.
Recruitment HQ
How Many Sales Employees Should I Hire?
Here is the daily hiring and getting hired tip:
One of the hardest decisions a business can make is how many people to hire. With the high expense of turning over an employee, averagely $30,000, the choice of how much staff to add or replace can completely control your profitability for the year.
Most stores base this solely around how many cars they want to sell, or even worse the eye test when they see a client not being attended to at some random time. Using either of these methods can lead to over-population of the sales floor, because we are basing the amount of staff around one small instance; or just as bad is being understaffed because we only sell "fill in the blank". Maybe you don't sell more due to the limit in staff?
For dealership sales departments I use the client base as a measuring stick. For each 500 clean contacts in your dealership client base (including gained prospects) your store needs one employee engaged in marketing to them. This includes floor sales, internet sales, and business development.
500 engaged clients is the total amount any one employee can effectively market to on behalf of the dealership. Any more and it gets overwhelming and people slip through the cracks; any less and you have salespeople sharing stories all day with nothing to do.
2 Comments
Dealers Marketing Network
While you focus on quantity, I will assume you also want to hire quality employees that you will train and provide all of the tools they need to succeed and help the dealership build a strong loyal customer base. While our industry has no shortage of employment and placement companies to find dealers "bodies" most focus on people that meet a broad criteria. The challenge comes in retaining these people. Dealers as a group currently spend over $1 Billion a year in recruiting, hiring, and training for their people (http://ilovemycustomer.com/dealers-spend-over-1-billion-a-year-for-training/) We need to recognize that hiring and training is only the starting point, not the ending point. A new employee with great potential is nothing without the support, mentoring, and resources to excel.
Recruitment HQ
Mark, quality is a must! I try to keep my posts focused, so this was strictly about staffing level, but it is all about who you keep. I just spoke this past year at Acura's national fixed ops convention about retention being the single greatest financial factor to a dealership's bottom line. The average cost for a turned employee is $30,000, and that is to net profit. You bring up a great point, and I will post a series on retention for the next week to address it. Always drives me crazy finding talent for dealerships, and then hearing back from the employee that they need a new opportunity 90 days later.
Recruitment HQ
Love Yourself - Self Esteem is Awesome!
Here is the daily hiring and getting hired tip:
LOVE YOURSELF, WHO YOU ARE, AND WHAT YOU DO.
THE MORE YOU SEEK THIS FROM OTHERS, THE LESS HAPPY YOU WILL BE.
This is more of a life tip for relationships, career, everything.
Self-Esteem is the greatest tool you can bring to any interaction
3 Comments
Faulkner Nissan
My General Manager (and several others) have said - if you love what you do, it isn't work.
Recruitment HQ
Definitely! You are the same person at work and home and you need the same things to be happy.
Recruitment HQ
Love Yourself - Self Esteem is Awesome!
Here is the daily hiring and getting hired tip:
LOVE YOURSELF, WHO YOU ARE, AND WHAT YOU DO.
THE MORE YOU SEEK THIS FROM OTHERS, THE LESS HAPPY YOU WILL BE.
This is more of a life tip for relationships, career, everything.
Self-Esteem is the greatest tool you can bring to any interaction
3 Comments
Faulkner Nissan
My General Manager (and several others) have said - if you love what you do, it isn't work.
Recruitment HQ
Definitely! You are the same person at work and home and you need the same things to be happy.
Recruitment HQ
In the spirit of Thanksgiving a tip about being grateful.
Here are two easy things to do during the interview process to build a relationship. One is having a handout for every applicant with why the dealership and its culture are great. Have a listing of employee benefits, ways you serve the community, and most importantly compliments for your staff. Descriptions of ways you reward the best employees.
The second way to turn, what can be a very nerve wracking experience, into a positive is a small gift for every applicant that interviews in person. A simple one is a free oil change. Tell the interviewee that you want them to fall in love with the dealership experience before they even come to work there. Even if they don't end up joining your team, they will be ambassadors for you in the community.
5 Comments
Tittep Automotive
A fine idea! People always love something they didnt ask for and didnt expect...and they feel obliged to reciprocate in turn : )
Recruitment HQ
Thanks Lance! Yes, to create true ambassadors for your business you need to give them a reason to want to tell others about you. Karma :-)
Remarkable Marketing
Culture, culture, culture. Starting off a relationship on the right foot can go a long way down the road. Well said & great ideas!
Recruitment HQ
We are building relationships with everyone we meet, and if we want them to be positive we need to do something to make them happen that way. Thanks for the great comments!
Recruitment HQ
In the spirit of Thanksgiving a tip about being grateful.
Here are two easy things to do during the interview process to build a relationship. One is having a handout for every applicant with why the dealership and its culture are great. Have a listing of employee benefits, ways you serve the community, and most importantly compliments for your staff. Descriptions of ways you reward the best employees.
The second way to turn, what can be a very nerve wracking experience, into a positive is a small gift for every applicant that interviews in person. A simple one is a free oil change. Tell the interviewee that you want them to fall in love with the dealership experience before they even come to work there. Even if they don't end up joining your team, they will be ambassadors for you in the community.
5 Comments
Tittep Automotive
A fine idea! People always love something they didnt ask for and didnt expect...and they feel obliged to reciprocate in turn : )
Recruitment HQ
Thanks Lance! Yes, to create true ambassadors for your business you need to give them a reason to want to tell others about you. Karma :-)
Remarkable Marketing
Culture, culture, culture. Starting off a relationship on the right foot can go a long way down the road. Well said & great ideas!
Recruitment HQ
We are building relationships with everyone we meet, and if we want them to be positive we need to do something to make them happen that way. Thanks for the great comments!
Recruitment HQ
Join social media groups to find your next great job
Here is the daily hiring and getting hired tip:
Get social to find your next dream job. In today's connected world many of the best positions are filled before they ever get advertised. Social media is not just a place to catch up with friends, business owners and managers are connecting with potential candidates.
The best place to find these hidden opportunities are in groups on Facebook and LinkedIn. Join five or six groups specific to your industry and contribute. Comment when there is a topic you have an opinion on, or pose a question to the group. These groups are one of the first places management goes to hunt for fresh talent. Sometimes they will even post right in the group that they need a new employee and ask who knows someone.
Most importantly start engaging in groups now. It can take time to be noticed as a contributor, and you want to build those connections before you need to use them to find an employer.
7 Comments
Recruitment HQ
I am constantly finding executive managers looking for people in these groups.
CBG Buick GMC, Inc.
I am in quite a few on facebook. It's not just the future jobs out there, but also the help that you get much like we do here on DS.
Recruitment HQ
Quite so Lauren. The automotive community is very social about what works in stores. Great point. You can get tunnel vision with what is happening in your market, groups let you hear what is going on around the country.
CBG Buick GMC, Inc.
No doubt. I think too often people in these groups, and even sometimes on DS, people get big headed about what they feel works best. I know that I'm new to the industry, but we are all here to help each other. Not fight against each other. I often have to reign in my little firecracker temper. Social media is a new ball game and no longer just about seeing what others are doing throughout the day. Not to mention how many employers now check your social to see if you are a good candidate to work for their company.
Recruitment HQ
There was a recent statistic that 89% of the Fortune 500 companies are reviewing social media content of applicants and using them in hiring decisions. If you wouldn't say it at the office probably shouldn't vent it on social media. Though it is important to be passionate about what you believe, just have to keep it in a professional tone. So being a firecracker is good, fire breathing dragon not so much :-)
CBG Buick GMC, Inc.
Greg, I have no doubt that people nowadays use social more than ever to qualify potential employees. I know that I would if it were up to me. I think I participate in groups more than I actually post on my own page. I'll try to remember to keep my inner dragon down, though sometimes she can be hard to tame.
Recruitment HQ
Join social media groups to find your next great job
Here is the daily hiring and getting hired tip:
Get social to find your next dream job. In today's connected world many of the best positions are filled before they ever get advertised. Social media is not just a place to catch up with friends, business owners and managers are connecting with potential candidates.
The best place to find these hidden opportunities are in groups on Facebook and LinkedIn. Join five or six groups specific to your industry and contribute. Comment when there is a topic you have an opinion on, or pose a question to the group. These groups are one of the first places management goes to hunt for fresh talent. Sometimes they will even post right in the group that they need a new employee and ask who knows someone.
Most importantly start engaging in groups now. It can take time to be noticed as a contributor, and you want to build those connections before you need to use them to find an employer.
7 Comments
Recruitment HQ
I am constantly finding executive managers looking for people in these groups.
CBG Buick GMC, Inc.
I am in quite a few on facebook. It's not just the future jobs out there, but also the help that you get much like we do here on DS.
Recruitment HQ
Quite so Lauren. The automotive community is very social about what works in stores. Great point. You can get tunnel vision with what is happening in your market, groups let you hear what is going on around the country.
CBG Buick GMC, Inc.
No doubt. I think too often people in these groups, and even sometimes on DS, people get big headed about what they feel works best. I know that I'm new to the industry, but we are all here to help each other. Not fight against each other. I often have to reign in my little firecracker temper. Social media is a new ball game and no longer just about seeing what others are doing throughout the day. Not to mention how many employers now check your social to see if you are a good candidate to work for their company.
Recruitment HQ
There was a recent statistic that 89% of the Fortune 500 companies are reviewing social media content of applicants and using them in hiring decisions. If you wouldn't say it at the office probably shouldn't vent it on social media. Though it is important to be passionate about what you believe, just have to keep it in a professional tone. So being a firecracker is good, fire breathing dragon not so much :-)
CBG Buick GMC, Inc.
Greg, I have no doubt that people nowadays use social more than ever to qualify potential employees. I know that I would if it were up to me. I think I participate in groups more than I actually post on my own page. I'll try to remember to keep my inner dragon down, though sometimes she can be hard to tame.
Recruitment HQ
How to attract the best sales help.
If your business is seeking the best candidates in the market you are going to have a lot of competition, especially in sales. So what are these talented people looking for in choosing their next employer?
Two things a base salary and flexibility of schedule to fit family needs. 75% of present sales people surveyed cited these two issues and being the most important in selecting their next employer. These even were ranked higher than income potential.
If you are looking out at your sales floor and thinking how do I get the best in my community to work here, consider staffing to a level that lets you cover your business and give time off and implementing a base salary with bonus.
No Comments
Recruitment HQ
How to attract the best sales help.
If your business is seeking the best candidates in the market you are going to have a lot of competition, especially in sales. So what are these talented people looking for in choosing their next employer?
Two things a base salary and flexibility of schedule to fit family needs. 75% of present sales people surveyed cited these two issues and being the most important in selecting their next employer. These even were ranked higher than income potential.
If you are looking out at your sales floor and thinking how do I get the best in my community to work here, consider staffing to a level that lets you cover your business and give time off and implementing a base salary with bonus.
No Comments
2 Comments
Mark Dubis
Dealers Marketing Network
While you focus on quantity, I will assume you also want to hire quality employees that you will train and provide all of the tools they need to succeed and help the dealership build a strong loyal customer base. While our industry has no shortage of employment and placement companies to find dealers "bodies" most focus on people that meet a broad criteria. The challenge comes in retaining these people. Dealers as a group currently spend over $1 Billion a year in recruiting, hiring, and training for their people (http://ilovemycustomer.com/dealers-spend-over-1-billion-a-year-for-training/) We need to recognize that hiring and training is only the starting point, not the ending point. A new employee with great potential is nothing without the support, mentoring, and resources to excel.
H Gregory Gershman
Recruitment HQ
Mark, quality is a must! I try to keep my posts focused, so this was strictly about staffing level, but it is all about who you keep. I just spoke this past year at Acura's national fixed ops convention about retention being the single greatest financial factor to a dealership's bottom line. The average cost for a turned employee is $30,000, and that is to net profit. You bring up a great point, and I will post a series on retention for the next week to address it. Always drives me crazy finding talent for dealerships, and then hearing back from the employee that they need a new opportunity 90 days later.